Shareholders of Open Joint-Stock Company (OJSC) Tojik Sodirot Bonk (TSB), which is Tajikistan’s second largest commercial bank, will discuss the results of the bank’s activity and its further fate at an annual meeting of shareholders that will take place in Dushanbe on April 29.
In accordance with the decision of the TSB Supervisory Board, the shareholders will review the results of the activity carried out by the bank in 2016 and over the first quarter of this year. The findings of the audit conducted at the bank last year will also be presented at the meeting.
The shareholders will also discuss the financial statement and report on the bank’s incomes and losses over the last year.
Tojik Sodirot Bonk has been experiencing liquidity issues since the beginning of 2016.
The National Bank of Tajikistan sidelined chairman and part-owner of the bank, Tojiddin Pirzoda, and six of his deputies from the bank in mid-May and installed a temporary crisis administration.
Tojiddin Pirzoda was reinstated on December 13. He was reportedly given a month to draw a plan on improving the financial situation in TSB.
The bank last year experienced severe problems in providing account-holders with their own savings. The shortage of hard cash also meant that TSB servicing salaries were unable to pay the intended recipients.
The government’s solution to the cash flow crisis was to issue bonds and Tojik Sodirot Bonk got 2.25 billion somoni.
Each customer is now able to receive 200.00 somoni per day. The customers reportedly also have an opportunity to carry out non-cash payment transactions for up to 200.00 somoni through the bank’s POS-terminals.
Assets on TSB’s books reportedly include the bank headquarters in Dushanbe, 43 branches across the country, Closed Joint Stock Company (CJSC) Dushanbe Moll (Tajikistan’s largest shopping mall, which is home to the country's first ever hypermarket to be part of the French Auchan chain), Tajikistan Hotel in Dushanbe, eight nine-story apartment buildings in Danghara district (Khatlon province), spinning mills in Danghara and Farkhor districts (Khatlon province), cotton ginneries in Khatlon province, and auto-repair enterprise.
Tojik Sodirot Bonk was established in December 1990 as the Tajik branch of the Vnesh Econom Bank of the former Soviet Union, and it initially specialized in trade and import-export banking. Later this branch was reorganized into a Joint-Stock Commercial Bank “Tajikvnesheconombank”. In June 1999 the bank was renamed and registered as Tojik Sodirot Bonk or TSB.